London Movers: RBS, Tullow Oil
Shares of part-nationalized British bank Royal Bank of Scotland rose 4 percent in morning trade, topping London's FTSE-100, after its shares were upgraded to "outperform" from "underperform" by Cazenove.
After it raised 40 billion pounds ($66 billion) in new shares and subscribed 300 billion pounds to the UK government's insurance scheme, the bank addressed the issue of capital adequacy, Cazenove wrote in a research note.
The broker also said RBS' new management will pare back operations to the core effective, raising the banks' return on equity. Cazenove expects positive developments at RBS over the coming months.
Shares in Tullow Oil also rose nearly 4 percent because of talk in the media of an imminent bid for its partner on its largest oil discovery off Ghana and hopes of a new discovery elsewhere on the West African coast.
- Reuters contributed to this story